Let COP26 Not Be A Cop-Out

The Economic Times     16th August 2021     Save    

Context: Discussing the needs of developing countries, including India, at COP 26 (Glasgow) scheduled in October-November 2021.

What developing countries should ask for -

  • Close financing gap in adaptation: According to UN Environment Programme (UNEP), developing countries need for adapting to climate change will amount to $180-300 billion a year by 2030.
    • Finance flows directed at the adaptation needs of developing countries are outstripped by mitigation flows by a ratio of 1:18.
  • Push for a decision on ‘loss and damage’: The unavoidable losses caused by climate change, such as sea-level rise, must be taken care of.
    • The Maldives and the Pacific states are already considering buying up land to relocate their people. There is need for clarity in vision.
  • Better measurement and understanding of adaptation: The absence of recognised and standardised measurements has become the key reason that ‘donors’ ignore adaptation finance.
  • Less Environmental, social and corporate governance (ESG)-‘washing’: 
    • Current ESG investments are at $40 trillion. But this seems to be making no difference in overall climate trends as there are increased methane emissions and degrading social indicators 
    • There is a need to examine the impact that this money is making on social equality, empowerment and inclusion, people’s resilience and overall greenhouse gases.
    • Developing countries, because they are far more vulnerable socially and environmentally, should push for these contractual and verification systems that are validated locally.
  • The world needs to move on carbon pricing: Prices need to reflect the true costs of production.
    • Entire industry will need to be created to understand carbon outflows and inflows. This will, in turn, lead to a more honest understanding of social and environmental impacts.
  • Innovation and evidence on what works to improve climate resilience: Innovation in this space and understanding what works is both possible because of technology and data. 
    • While cash transfer and self-help groups have been implemented well, other popular investments have more nuanced impacts.
    • For e.g. payment for ecosystem services may work but are usually exclusionary; community-driven development programmes work to increase public infrastructure but do not increase social cohesion.

Conclusion: Climate change is a wicked problem. Dealing with it means we find solutions at the intersection of social, technological, economic and natural systems.